Shareholders probably don't see much value in dropping $2 million here and there into tiny startups. It hasn't had any big hits (or, to be fair, any whopping public failures). Plus, the company has enough clout to access startups' hot new products without actually putting cash into those startups.

There was another thing wrong with Best Buy's VC strategy, though. Best Buy, at its core, is a retailer, not a technology company. And Best Buy Capital didn't appear to spend much time at all investing in retail concepts, or startups that had retail-driven technologies that could help it take on online competitors.

I did talk with someone last week who said that one retailer that's taken a good approach to working with the startup world is Nordstrom, which recently led a $16.4 million round investment in online pants retailer Bonobos. One of the primary reasons it invested in Bonobos was to get access to its clever and effective email marketing expertise, which would benefit Nordstrom's focus on e-commerce. It also, of course, now sells Bonobos pants in its stores. Nordstrom also has an investment in online shoe retailer Sole Society.

In short, Nordstrom invested in companies that know how to sell stuff, while Best Buy primarily invested in stuff.

Overall, Best Buy Capital also hasn't done a whole lot for the Twin Cities market. When it launched the venture arm in 2008, some tech startups were hopeful that the company would drop a little dough in its backyard. Since then, I've heard of several startups landing meetings with Best Buy Capital. They got free advice, but, as far as I know, no cash.